Statement Of Value Statement Of Value

A. O. Smith will achieve profitable growth

Profitable growth is essential for A. O. Smith’s future. To achieve profitable growth, we must provide:

  • New and high-quality products for our customers;
  • Greater opportunity for individual advancement and improved job security;
  • Growth in investment value for our stockholders.

Not only will we seek an above-average return on stockholders’ investment, we will grow in a planned way so that:

  • Our business units will have individualized growth rates that complement each other and produce a company that grows faster than the U. S. economy;
  • The capital requirements of growth will be supported by funds generated by our above-average return on investment and by external sources, such as borrowing and equity.

A. O. Smith will emphasize innovation

Innovation is a primary source of profitable growth. Therefore, we will:

  • Achieve market leadership in all major product lines through innovation and continuous improvement that increases the value of our products and services to our customers;
  • Seek innovative ways to improve our effectiveness as an organization and the productivity of our facilities;
  • Foster development of attitudes and skills in our people that encourages involvement and creativity;
  • Achieve management excellence to produce the best results and position our company for future growth;
  • Focus on achieving profitable growth with a disciplined approach to mitigating risk.

 

A. O. Smith will preserve its good name

In all dealings with people and organizations, we will act with uncompromising integrity. We will:

  • Be fair and truthful in all claims and advertising;
  • Deal fairly with customers, suppliers, competitors, government and regulatory agencies, and employees;
  • Strictly adhere to all laws and seek only honorable goals while rejecting unethical practices;
  • Achieve high standards of quality in all aspects of the business;
  • Instill these values in succeeding generations of employees.

A. O. Smith will be a good place to work

In operating our company, we will attract imaginative and competent people. We will emphasize teamwork and welcome diversity in seeking our objectives. We will:

  • Create a climate where respect for the individual is fundamental;
  • Encourage the freedom and personal growth that comes with self-discipline and enthusiasm for work;
  • Treat each other fairly and without discrimination;
  • Pay individuals equitably according to their contributions;
  • Provide safe equipment, proper materials, and training and always insist on safe practices.

A. O. Smith will be a good citizen

To serve the public and the communities in which we do business, we will:

  • Strive for growth that contributes to the economic well-being of the communities in which we are located;
  • Provide financial support for and encourage our people to involve themselves in worthwhile civic activities;
  • Insist that our plants and operations comply with environmental standards;
  • Encourage, in every appropriate way, the protection and preservation of the free enterprise system so necessary for the attainment of these objectives.
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